Amends section 1075: inserts text into subsection (b)(1)(B); redesignates existing subsections (h) and (i) as (i) and (j); and inserts a new subsection (h) titled 'Covered veteran beneficiaries' that (1) allows a covered veteran beneficiary to elect to enroll in TRICARE Select during the TRICARE annual open enrollment season, (2) requires cost-sharing for covered veteran beneficiaries under TRICARE Select to be calculated pursuant to subsection (d)(1) regardless of original enlistment or appointment date, and (3) prohibits a dependent of a covered veteran beneficiary from enrolling in TRICARE solely because the covered veteran beneficiary enrolls.

Amends section 1086(d): in paragraph (1) inserts text before the period at the end; and makes insertions in paragraphs (2) and (4) as specified in the section (text indicates insertion points but does not reproduce inserted language in this section).

Adds a new paragraph (16) to section 1072 defining the term 'covered veteran beneficiary' as a veteran who (A) is eligible to enroll in the system of patient enrollment under paragraph (1), (2), or (3) of section 1705 of title 38, and (B) is eligible to enroll in the TRICARE program only pursuant to section 1075(h) or section 1086(d) by reason of being an individual who would be covered by section 1075(h) but for being a Medicare-eligible beneficiary covered by section 1086(d).

Amends section 1705 by adding a new subsection (d) which: (1) prohibits a covered veteran beneficiary who enrolls in the TRICARE program from being concurrently enrolled in the VA system of patient enrollment under subsection (a) and prohibits the Secretary from furnishing medical care to such a beneficiary under this chapter or other law while so enrolled in TRICARE; and (2) states that terms in this subsection have the meaning given those terms in section 1072 of title 10.